14 Investment Contracts

In CHF million  
Notes  30.06.2010 31.12.2009
Investment contracts with discretionary participation with deposit accounting
  9 859 10 566
Investment contracts with discretionary participation with actuarial valuation
  870 820
Investment contracts without discretionary participation at amortised cost
  241 433
Investment contracts without discretionary participation at fair value through profit or loss
  241 270
Total investment contracts
  11 211 12 089
of which for the account and risk of the Swiss Life Group's customers 4  2 685 2 788


In the case of contracts that do not have significant insurance risk but contain discretionary participation features, the Swiss Life Group primarily bases its accounting policies on the requirements of the Generally Accepted Accounting Principles in the United States (US GAAP).

For investment-type contracts, the savings premiums collected are reported as deposits (deposit accounting). These amounts relate to contracts issued in France and Luxembourg.

In the case of traditional contracts in the life insurance business, future life policy benefit liabilities are determined by using the net-level-premium method on the basis of actuarial assumptions as to mortality, persistency, expenses and investment return, including a margin for adverse deviation. For participating contracts where the contribution principle applies to the allocation of the policyholder bonus, future life policy benefit liabilities are determined by using the net-level-premium method on the basis of appropriate mortality and interest rate assumptions. These amounts relate to contracts issued in Switzerland and France.

Certain contracts that do not contain significant insurance risk and do not have discretionary participation features are carried at amortised cost or fair value.

 
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